Over the past few months, there has been a drastic increase in U.S. shale producers’ race to acquire drilling permits from the Federal Government. This is due to the upcoming November presidential elections and concerns that a win by Joe Biden could mean a crackdown on oil and gas exploration. According to Reuters, “As of August 24, producers have received 974 permits so far this year for new wells on federal land in the Permian, compared with 1,068 for all last year and 265 in 2018, according to data firm Enverus. In the 90 days up till August 24, producers received 404 permits in the Permian, compared with 225 and 11 in the same period in 2019 and 2018, respectively. The scramble for permits comes despite the weak outlook for oil drilling and prices due to the ongoing coronavirus pandemic.”
shale
U.S. Shale to Slow Down
By: Jon Babyak / Posted on: November 7, 2019
U.S. shale production has sustained a years-long boom of rapid growth, but that appears to be coming to an end sooner rather than later. Following a mixed bag of earnings reports from shale executives, the common belief is that the growth frenzy is slowing down and coming to an end. According to World Oil, “The key challenge for producers now is to meet investors’ new focus on return of capital. This comes at a time when companies are facing a prolonged period of lower prices and when access to financing from capital markets has become difficult.”
Sleepy Shale
By: Pam Corn / Posted on: April 3, 2019
The fall in oil prices at the end of last year combined with pressure from investors has led to a slowdown in the U.S. shale industry.
Going Down?
By: Pam Corn / Posted on: December 19, 2018
Oil prices fell more than 1% yesterday hitting 14 month lows after reports of an increase in U.S. inventories along with surging shale output.
The Land of Enchantment
By: Matt Reese / Posted on: September 19, 2018
The Bureau of Land Management, under the Department of the Interior, held a two-day auction on 142 parcels of land in New Mexico at the beginning of September. The results from this single sale has surpassed their sales numbers from all transactions in 2017 combined. The land lease sale of nearly US $1 billion will provide ample land to further boost the already growing oil production in the state.
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